Chile sends chills through lithium market

Chile has moved to seek greater control over its lithium industry. The plans, announced by the country’s president Gabriel Boric, fall short of full scale nationalisation, but do envisage majority state-owned partnerships with private companies for the exploitation of lithium deposits. Going forward, the country’s two lithium miners, Chile’s SQM and the US mining giant Albermarle, must negotiate with state-owned copper producer Codelco as regards future state participation in their existing concessions.

Lithium Company Stock Prices

Lithium Company Market Corporate Website Stock Price
Albermale U.S.: NYSE Click Here click
Allkem Limited ASX Click Here click
Advanced Metallurgical Group AEX Click Here click
Andrada Mining AEX Click Here click
Askari Metals AEX Click Here click
Atlantic Lithium Ltd ASX Click Here click
Atlantic Lithium Ltd ASX Click Here click
Bradda Head Lithium LSE Click Here click
Cleantech Lithium LSE Click Here click
Core Lithium ASX Click Here click
Energiser Holdings NYQ Click Here click
Eramet SA Paris Click Here click
Euro Manganese Inc CVE Click Here click
Ganfeng Lithium Group HKG Click Here click
Great Western Mining ISE Click Here click
Imerys Paris Click Here click
Kodal Minerals LSE Click Here click
Liontown Resources Ltd ASX Click Here click
Lithium Americas Corp TOR Click Here click
Lithium Energy* ASX Click Here click
Munters Group Stockholm Click Here click
Piedmont Lithium NAQ Click Here click
Pilbara Minerals ASX Click Here click
Premier African Minerals AIM Click Here click
Savannah Resources LSE Click Here click
Sigma Lithium CVE Click Here click
SQM Chile US Click Here click
Tantalex Lithium DEU Click Here click
Tianqi Lithium US Click Here click
Vulcan Energy Resources ASX Click Here click
Zinwald Lithium* AIM Click Here click

Copyright: Lithium Markets

Lithium Markets: Search For Scale

Logic dictates that mining companies consolidate. In the latest iteration, Australia’s Allkem has announced an all-share merger deal with US rival Livent. The combined business will be worth $10.6bn, making it the third largest player in the lithium space, behind Albemarle and Chile’s SQM. It will have have production capacity of around 250,000 tonnes of lithium, with mines in Argentina, Australia and Canada alongside processing facilities in China, the US and Japan. Lithium spot prices in China have plunged 70 per cent over the past five months on the back of weak EV sector demand.

Africa is sleepy evil/Lithium

China leads the global race to obtain critical minerals. Huayou Cobalt, for example, recently paid $422mn for a lithium mine at Arcadia in Zimbabwe. The company has also made a strategic investment in a mine in Uis, a remote part of Namibia. In the global race for lithium, Africa offers significant advantages to those that are brave enough to take the risks associated with investing there – not least, the fact that development of new mines is typically not hindered by the political and environmental hurdles that are present in other lithium rich countries; such as Chile and Mexico. (the precarious nature of the lithium market was amply demonstrated recently, when Chile’s president Gabriel Boric announced plans to bring the lithium industry under partial state control).

China’s appetite for Lithium is insatiable: the country remains the dominant player in the market for processing the metal into the raw materials for batteries. Out of the blocks early, when it came to Africa, the Chinese are prepared to take risks to uphold their dominant position on the continent. In the past month, shares in London listed lithium developer Kodal Minerals rocketed when it became known that the company had received investment of $110mn from Hainan Mining, a subsidiary of Fosun International Limited, a Chinese multinational conglomerate holding company. Kodal is active in West Africal; its flagship project is the Bougouni Lithium project in southern Mali.